Integrated Energy holds a conditional license for the construction of a 120MW cogeneration power station and operates Hadera Paper's energy center at Hadera Paper's site which currently supplies electricity and steam to Hadera Paper's facility.
Consideration for the transaction is NIS 60 million (approximately $15.6 million). Additional investments by IC Power will be required to enable Integrated Energy to complete construction of the power plant. The power plant is expected to supply the electricity and steam needs of Hadera Paper's facility as well as provide electricity to end users in Israel. The new power plant is expected to commence operations in the second half of 2018.
The power plant will have a high level of energy utilization due to usage of the cogeneration technology, which supplies electricity and steam in a single production process. The power plant will operate using natural gas.
